Eligibility Criteria
- The member must have rendered an aggregate service of at least one (1) year prior to separation.
Repayment Terms
- A one-month emergency loan is repayable within one (1) year.
- Loans of two (2) or three (3) months must be repaid within two (2) years.
Loan Interest and Fees
- Loans bear a simple interest rate of five percent (5%) per annum.
- Interest shall not be deducted in advance.
- No service fees shall be charged.
- Any outstanding balance on previous loans shall not be deducted from the new loan.
Disbursement of Loan
- Loans are disbursed in installments: two (2) releases for two-month loans, and three (3) releases for three-month loans.
- Subsequent releases require certification that the borrower remains separated from employment and is unemployed.
Notification of Re-Employment
- Borrowers who are re-employed by the same employer must notify the Social Security System (SSS) immediately.
- Borrowers re-employed by a different employer must also duly notify the SSS.
Scope and Application
- The issuance applies exclusively to ECC-SSS members laid off due to the economic crisis, as certified by the employer or proven through other means.
- Members separated before September 1, 1983, are limited to a one-month salary loan under existing SSS policies.
- Applications for the three-month emergency loan may be processed at the SSS Main Office or any regional, provincial, or district office.
Effectivity
- The issuance took effect immediately upon signing on May 1, 1984.